EB-5 Business Plans – What Are They And How Does One Apply
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To begin with, what is an EB-5 business plan?
An EB-5 is an immigrant visa where you make an investment in a U.S business and create jobs for workers. Based on that investment, you, your spouse, and your children (under the age of 21) become eligible for a green card and permanent residency in the United States. You must invest at least $900,000 in a business that will take 10 American workers into employment.
Because part of EB-5 visas involves a job creation requirement, EB-5 business plans need to include the job descriptions of each position and the timetable for hiring the 10 new, full-time positions EB-5 visa investors need to create. Show a detailed staffing plan to fulfill the requirement.
As an EB-5 investor, your business plan is not the average plan other future business owners are creating. Because of your visa application, you have specific needs and requirements to meet at each stage. Within these requirements is a very clear outline of what needs to be included in that plan to comply with both USCIS needs and Matter of Ho (a decision that defines the requirements for the EB-5 visa business plan).
The EB-5 business plan submitted with EB-5 petitions needs to explain to USCIS the reasons why this business will be successful in the U.S. and what it can bring to the country. The more detailed the plan, the better the immigration officer can understand why this business will be beneficial.
EB-5 visa business plans need to present each of the following elements in detail, in a professional manner and include any supporting data or documentation you have available. The business description gives the USCIS an overview of the industry, purpose, mission, and plans of the proposed business. The very beginning of your business plan includes the executive summary and operations analysis. This is a very clear and concise yet brief summary of your business and how it functions. Finally, this is the chance to really show off well-studied operational systems while aiming to identify opportunities for improvement. BBP can equip you with the answers that many investors seek in this portion of the business plan. Including:
- Management
- Milestones
- SWOT analysis
Many EB-5 investors create a new business, and in doing so, investors need to explain the business structure. The three most common EB-5 investments are:
- limited partnerships
- corporations
- limited liability companies
The structure will have legal, tax, and management implications. EB-5 business plans must include 2 things: target market analysis and a marketing plan to explain how your business will find and target potential customers.
- Market analysis: EB-5 business plans must include target market analysis and a marketing plan to explain to USCIS the road map for finding and targeting customers. You need to be sure to include a personnel plan, explaining the experience of management and key personnel and the functions they’ll fulfill.
- A competitor analysis, including what makes this new business unique and how it will fill any gaps in the market, should be included with all EB-5 plans.
- As with most business plans, the financial projections, including budgets, sales, and costs, need to be explained for a five-year period, showing the source and uses of funds.
- Required details: One unique element of these plans is showing that research for all required licenses and permits for operating the business has been done, and you, as the investor, understand what will need to be done to launch the business.
- Job creation: EB-5 business plans need to include the job descriptions of each position and the timetable for hiring the 10 new, full-time positions EB-5 visa investors need to create. Show a detailed staffing plan to fulfill the requirement.
Another unique element of these plans is showing that research for all required licenses and permits for operating the business has been done, and the investor understands what will need to be done to launch the business.
We have helped thousands of immigrant investors comply with Matter of Ho and explain the value of their businesses to USCIS. Contacts us for a free consultation!
Merge is a hospitality advertising agency that provides lead generation and inquiry rate optimization for restaurants, bars, and hotels.
James Scott was born in Missouri and studied at the University of Central Missouri. Currently working as Manager at ActoutLoud, James Scott helps readers learn the fields of Law, Marketing, Construction, Education, Health, etc hone their skills, and find their unique voice so they can stand out from the crowd.
How to Cite This Article
James Scott. "EB-5 Business Plans – What Are They And How Does One Apply." Act Out Loud, February 23, 2021. https://actoutloud.org/eb-5-business-plans-what-are-they-and-how-does-one-apply/
